This article first appeared on GuruFocus .
Release Date: November 05, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Total revenue grew 44% year over year to $107.2 million, with net product revenue up 43% to $106.3 million.
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Recorlev net revenue increased 93% year over year to $71.5 million, driven by record referrals and new patient starts from the expanded commercial team.
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Adjusted EBITDA improved 77% year over year to $30.8 million, and net income was $11.3 million compared to $0.6 million in the prior year.
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Full year 2026 revenue guidance raised to $395-$405 million, and 2030 revenue outlook increased to more than $1 billion from $750 million.
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New patents issued for Caveus (protection through 2043) and XP-8121 (third US patent), strengthening intellectual property and long-term growth prospects.
Negative Points
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G-Voq net revenue declined to $21.7 million from $25.2 million year over year, due to a $4 million one-time gross-to-net adjustment in the Medicaid channel.
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SG&A expenses increased $17.6 million year over year to $64.1 million, and full year SG&A guidance raised to a $60 million increase from prior $50 million expectation.
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R&D expenses increased $3.6 million year over year to $11.1 million, reflecting continued investment in XP-8121, with further increases expected.
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Recorlev faces prior authorization requirements and access challenges that require ongoing resources and are not expected to change soon.
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XP-8121 is still in late-stage development, with Phase 3 initiation by year-end, top-line data expected in late 2028, and potential approval in 2030, representing a long timeline to commercialization.
Q & A Highlights
Q: With the increased 2030 revenue outlook of more than $1 billion, how does Xeris plan to deploy the additional capital generated? A: CEO John Shannon outlined a clear capital allocation priority: first, invest in the existing commercial assets to drive incremental growth; second, invest in the pipeline, particularly XP-8121; and third, if capital remains, pursue business development activities that fit the company's commercial footprint and capabilities, especially those that could generate incremental revenue between now and 2030.
Q: What are the underlying assumptions that led to raising the 2030 total revenue outlook from $750 million to more than $1 billion? A: CFO Steve Piper explained that the increase is driven by the overall commercial portfolio, with all three brandsRecorlev, Gvoke, and Keveyisexpected to contribute to growth. Recorlev is expected to lead, based on the momentum seen in Q3 and carrying into Q4. He emphasized that the 2030 target is only three years away.
Q: Can you discuss the relative magnitude of the different drivers behind Recorlev's strong quarter, including new and repeat prescribers and the field force, and whether this momentum can carry into 2027? A: CEO John Shannon attributed the strong quarter to the January commercial expansion kicking into gear, combined with outstanding market dynamics where more patients are being screened for hypercortisolism. He noted growth is coming from both existing and new prescribersreflecting both depth and breadthand that the momentum is expected to continue into 2027 and beyond.
Q: How does Xeris plan to leverage the recent ADA and European updated guidance documents on hypercortisolism, and could this accelerate volume and sales next year? A: CEO John Shannon said the guidance adds to the body of evidence and creates an environment where more clinicians are screening and detecting hypercortisolism, particularly in patients whose drugs should be working but are not. He views this as a positive market dynamic that will help future growth across the board.
Q: What is the update on access dynamics for Recorlev, and do you expect access to become more challenging as the product's footprint grows? A: CEO John Shannon stated that everything in this market is a prior authorization, and that dynamic is not expected to change right away. He noted it remains a path of medical necessity requiring resources to help clinicians and patients get coverage, with no near-term change anticipated.
Q: Can you discuss the relative strength of the new patents for XP-8121 and Keveyis, and whether they help build conviction in the long-term guidance raise? A: CEO John Shannon said XP-8121 now has three patents extending as far as composition of matter, which he called extremely strong. For Keveyis, he noted the company fought for nine years to secure the patent, which he considers very important and strong, giving Xeris the ability to invest in finding more PPP patients over the long term. Keveyis has now had four quarters of growth.
Q: What were the drivers behind Keveyis' best quarter since 2024, and how much impact did the increased focus and additional resources have in the quarter? A: CEO John Shannon explained that the new resources only left training a few weeks ago, so much of their impact will flow into Q4 and next year as they ramp up. He noted the company anticipated the steady growth of Keveyis and began making investments ahead of that based on the brand's durability.
Q: What is Xeris' market share by volume in the Keveyis market, particularly considering the impact of litigation? A: CEO John Shannon said this is a very small, ultra-rare disease area where market share is difficult to measure. He noted Xeris is the only company generating and finding new patients in the marketplace, and there is no other competition in terms of getting patients started and treated.
Q: What percentage of the endocrinology community is not routinely testing for hypercortisolism, and how does Xeris model the impact of the ADA guidelines going forward? A: CEO John Shannon said the opportunity extends beyond the endocrinology community into primary care, where clinicians treat patients with resistant cardiometabolic conditions, diabetes, and obesity. He believes the guidance adds to the body of evidence that when treatments aren't working, clinicians should look for something else.
Q: Does Xeris need to generate specific evidence for Recorlev in treatment-resistant diabetics to fully benefit from the guidelines? A: CEO John Shannon confirmed that Xeris is investing in both commercial efforts and evidence generation, with data expected to emerge over the next several years. He said the company is investing in both areas so it can add to the evidence base and eventually become a leader as the market matures.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
